Osram Announces New Business Outlook for Fiscal 2020, See Recovery after Its FY3Q20

With the impacts of COVID-19 outbreak, several companies across the world including Osram had withdrawn their business outlook or guidance earlier this year. As for new, following reopens in many countries, Osram provided an updated business guidance for its fiscal year 2020, starting October 2019 and ending September 2020.

Osram reported on June 17, 2020, that it is expecting an on-year revenue decline of -15 to -19%, comparing to its previous guidance of comparable revenue growth between -3% and +3%. The projected adjusted EBITDA margin went down from 9% to 11% to 3% to 6% with a negative free cash flow in the mid double digit to lower triple digit million range (previously: positive free cash flow in the mid double digit million range). For the ongoing third quarter of the fiscal year (April 1 to June 30 2020) the current forecast provides for a comparable revenue decline of up to -35 %, a negative adjusted EBITDA margin of up to -10% and a negative free cash flow in the mid double digit million range.

Osram withdrew the guidance for fiscal year 2020 in March 2020 due to the unpredictable impacts of the COVID-19 pandemic. After an expected decline of business development in the third quarter, the Managing Board now expects a slight demand recovery in the upcoming months. The profound weakness of the global automotive business as well as a demand weakness in Osram’s core markets in Europe and the U.S. will burden the development also in the fourth quarter. This is countered by currently increasing revenues in China and the early measures taken by the company which helped to moderate the impact of the COVID-19 pandemic on liquidity and financial results. These measures will continue to be consistently implemented. The same applies to the started structural initiatives for the sustainable improvement of profitability by which gross savings of at least EUR 300 million (US$ 337.72 million) will be realized until the end of fiscal year 2022.

Disclaimers of Warranties
1. The website does not warrant the following:
1.1 The services from the website meets your requirement;
1.2 The accuracy, completeness, or timeliness of the service;
1.3 The accuracy, reliability of conclusions drawn from using the service;
1.4 The accuracy, completeness, or timeliness, or security of any information that you download from the website
2. The services provided by the website is intended for your reference only. The website shall be not be responsible for investment decisions, damages, or other losses resulting from use of the website or the information contained therein<
Proprietary Rights
You may not reproduce, modify, create derivative works from, display, perform, publish, distribute, disseminate, broadcast or circulate to any third party, any materials contained on the services without the express prior written consent of the website or its legal owner.

Broad spectrum white LEDs are widely available San Jose, CA – Lumileds today announced immediate high quantity availability of its LUXEON 3030 HE Plus Horticulture LEDs. Based on the company’s leading 3030 LED portfolio and charact... READ MORE

- LED technology makes extremely space-saving disinfection applications possible - UV-C light can eliminate up to 99.9 percent of viruses and bacteria - Osram Opto Semiconductors is driving industrialization of UV-C LEDs Installed in space-sav... READ MORE